Dia Bras Exploration Inc. (the "Company") is pleased to announce that it has entered into an agreement with a group of investment dealers led by Dundee Securities Corporation (the "Underwriters") which have agreed to purchase 13,000,000 common shares of the Company at a purchase price of $0.70 per common share for gross proceeds of $9,100,000. The Company has also agreed to provide the Underwriters an over allocation option to acquire a further 1,950,000 common shares at $0.70 per common share, which if exercised, will result in aggregate gross proceeds of $10,465,000.

The common shares to be sold under this offering will be offered by way of a short form prospectus in the Provinces of British Columbia, Alberta, Ontario and Quebec.

The net proceeds of the Offering will be used to fund the Dia Bras exploration and development program at the newly acquired Cusi silver mining camp, to increase the Malpaso Mill capacity from 300 to more than 600 tonnes per day circuit and for the general working capital of the Company.

The offering is scheduled to close on August 3rd, 2006 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange and any other applicable securities regulatory authorities.

About Dia Bras
Dia Bras is a Canadian mining and exploration company focused on precious and base metals in the State of Chihuahua, northern Mexico. The Company is actively exploring and developing its three key assets - the Bolivar copper-zinc project, the newly acquired Cusi silver mining camp and the Promontorio property - in the world-renowned Sierra Madre mineral belt. The Company trades on the TSX Venture Exchange, under the symbol "DIB".

This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful. The securities have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.

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For further information contact:

Thomas L. Robyn
Executive Chairman
(514) 393-8875 ext. 241

or

Nicole Blanchard
Managing Partner
Sun International Communications
(450) 627-6600


The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this press release.

Forward-looking statements: Except for statements of historical fact, all statements in this news release, without limitation, regarding new projects, acquisitions, future plans and objectives are forward-looking statements which involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from those anticipated in such statements.